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PG&E to Cut Electric and Gas Rates on Jan. 1, 2026

The company cites completed safety work plus lower commodity and compliance costs for the drop.

Overview

  • Residential electric rates for bundled customers will fall about 5% on Jan. 1, with a roughly 6% cut for income‑eligible CARE customers.
  • Natural gas rates will decline about 3% for most households and about 2.6% for CARE customers, trimming a typical gas bill by about $1 a month.
  • PG&E estimates the average combined residential bill at about $285 in January 2026, roughly $10 lower than January 2025.
  • This marks the fourth electric‑rate decrease in two years, and since January 2024 a typical residential electric customer is paying about $20 less per month.
  • Direct Access and Community Choice Aggregation customers should check with their providers on generation charges, as PG&E does not set those rates, and the local cuts contrast with an EIA forecast of nearly 10% national electric price growth from 2024 to 2026.